The Hoboken City Council has introduced an ordinance that would fund up to $11.9 million in large-scale capital improvement projects, including the purchase of new park space at the former high-rise development site at 1600 Park Ave.
The money would also help rehabilitate several firehouses and the police headquarters, and replenish the city’s aging motor fleet.
A public hearing and final vote on the proposed bond ordinance could be held at the next City Council meeting scheduled for Sept. 7 at 7 p.m. at City Hall. The public will have an opportunity to speak at the hearing.
Acquisition of 1600 Park Ave.
In April, Mayor David Roberts announced the that city had contractually agreed upon a price of about $7 million buy 1600 Park Ave., a vacant 2.1-acre property once slated for a high-rise development. The city would then turn the property into a park.
Currently, national residential developer Toll Brothers Inc. has an option to buy that property from local developer Sanford Weiss. But Toll Brothers and Weiss expressed willingness over the past year to sell the property to the city for a park.
For the past several months, the Trust for Public Land (TPL), a national, non-profit, land conservation organization, has been negotiating on behalf of the city with the owners to buy the property. According to Terrence Nolan, the director of the Trust for Public Land’s New Jersey field office, the sale price would be about $7 million, about $400,000 less than the certified appraisal.
But to make the deal happen, the money has to be allocated by Oct. 1 so they can close by the end of the year.
According to Roberts, it is the city’s intention to turn the entire property into a park, with a mixture of active and passive recreation options.
The property is located between the Park and Willow Avenue bridges.
For more than a decade, 1600 Park Ave. has been the target of developers. Multiple plans have been presented to build high-rise residences on the property, but each has been met with massive public opposition.
Although development might be lucrative, it also would be likely to meet with opposition from Hoboken’s activist forces who want to preserve the city’s open space and prevent more congestion.
According to Roberts, he would like to see a mix of recreational amenities, which might include tennis courts, basketball courts, and handball courts.
According to the bonding ordinance that was introduced Wednesday, the city would bond $7 million to cover the cost of the purchase.
Grants likely coming
But just because the city will likely bond for the whole $7 million, that doesn’t mean it is footing the entire bill. The city currently has applications for about $5.3 million in grants that could offset the cost of acquisition. Because there is a hard deadline to close on the property, the city cannot wait until the grant money is approved, Roberts said.
“We need to secure that property by the end of the year, but we hope to get 60 to 70 percent of that money back through state Green Acres grants, county grants and federal money,” Roberts said.
According to the city’s Director of Community Development Fred Bado, the state Green Acre Grant program has committed about $2.3 million for the project, but the money won’t be in the city’s coffers until winter or maybe next fall. Also, there is an application to the Hudson County Open Space Trust for $2 million and an application for $1 million federal land conservation grants. Bado added that if this money does come, it could be used to pay the bonds off early.
According to the city’s attorney Joseph Sherman, the bonds would be structured in a way so as to avoid any early payment penalties if the city does use the grant money to pay off the debt.
Campaign promise fulfilled
All nine members of the City Council will likely support the purchase of 1600 Park Ave. And the fact that this property, which has been the center of debate for years, will likely become a park is a solid accomplishment for Roberts’ administration. One of his major campaign platforms this spring was the creation of new open space.
Councilman Peter Cammarano, who was elected with Roberts in June, said Wednesday that the move shows the administration is committed to the creation of new open space.
“[The purchase of 1600 Park] is a critical first step in living up to our campaign promises,” Cammarano said.
Other money: Firehouse improvements; some controversy over police HQ
While the 1600 Park Ave. acquisition appears to be a sure thing, there is less universal support for the rest of the bonding package. According to the ordinance, $3.3 million would go towards improvements to public buildings and parks.
The projects this money would fund would be renovations at the Observer Highway, 201 Jefferson St., 801 Clinton St. and 1313 Washington St. firehouses.
It would also fund $1 million in renovations, including a new furnace, roof and air conditioning, for the Hoboken Police Headquarters.
Other renovations would include repairs at the Multi-Service Center, the Hoboken Public Library, City Hall and multiple city parks.
City Budget Consultant George Crimmins said the items are the “bare bones” necessities to keep these aging buildings functioning, but several members of the council were concerned that there wasn’t a more itemized list of the projects.
There was special concern over the $1 million earmarked for the police headquarters, especially considering that several years from now, the city might move the headquarters. For years, the city has discussed selling the headquarters and moving it to a more central location in the city. The property where it is now, on Hudson Street, is some of the most valuable in the city and could be a future windfall if it wanted to sell.
Some worry that putting $1 million in improvements now might not be worth it.
“One million dollars seems a lot more than just bare-bones patchwork,” Cammarano said.
Councilman Michael Cricco also expressed serious reservations about approving so much bonding without more detailed information.
Each of the City Council members said that before they approve the money for improvements to the buildings, they will need to see a detailed itemized list of every project at each facility before the next meeting.
Crimmins said that such a list will be produced and that the city’s directors will have to “justify every dollar” to the City Council.
New vehicles, also
The final item in the bonding ordinance was for $1.1 million in new vehicles, including a new garbage truck ($150,000), and a new street sweeper ($100,000). In all, 12 cars or trucks will be purchased. These items seem to have the support of the entire council, and should be approved without controversy.